Automobile Dacia will halt production from December 11 to January 12, which is the second long-term suspension of the operations of the plant in Mioveni. The carmaker has halted production three times over the last quarter, on October 30-31, November 13-14 and then from November 20 through December 7. The decision recently announced makes Dacia work for only three days in December for the first time in its entire history.
"From December 8 to 11, Dacia will continue production. After that it will halt operations until January 12. In November and December, we will have operated only 10 out of the 40 working days," stated Constantin Stroe, vice-president of Automobile Dacia. He explained that during the time when the plant does not work this year, 39,000 cars would not be made, with the daily output standing at 1,300 units.
The employees of the plant that are to be sent home on technical unemployment for 32 days, and will be paid 85% of the average salary. At the same time, all the other salary rights negotiated under the collective employment contract will continue to be paid.
"Socially, 2008, with all the concerns and the market trend will end well. The effects of the steps taken by the government will not show right away, and I see a rebound of the automotive market in March-April," Stroe says.
Another significant player in the automotive industry, German Draxlmaier group, which is also the biggest employer in Romania, announced it would stop the operations of the five factories it has in this country for three to five weeks. Draxlmaier is currently employing more than 17,500 people.
The reduction in orders, as a result of the reduction in consumer spending Europe-wide has also affected local business people, not just European industrial groups. The manufacturer of electrical engines for home appliances Ana Imep, held by George Copos will lay off 200 of its 1,000 employees soon. The decision was caused by the 20% decline in exports since the beginning of the year, which is estimated to double in December, considering foreign deliveries generate 97% of the turnover. Ana Imep had budgeted 50 million euros in turnover this year, which will be achieved 75%.
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